Arizona Real Estate License Practice Exam 2026 - Free Real Estate Practice Questions and Study Guide

In a deed of trust foreclosure sale, the new owner receives a trustee's deed. This document is crucial because it officially transfers ownership of the property from the trustee to the buyer who won the auction or purchased the property at the foreclosure sale. The trustee's deed serves as a legal instrument that provides evidence of the new owner's title, and it's recorded with the county recorder’s office to establish public notice of the change in ownership.

A deed of reconveyance is relevant in scenarios where a loan has been fully repaid, effectively returning the property to the borrower rather than involving a foreclosure context. The note marked paid pertains to the payment of the original loan, which is not part of the transfer of ownership during a foreclosure. The trust deed, on the other hand, is the original document that created the security interest in the property and is not what the new owner receives after the foreclosure sale. Thus, the trustee's deed is the correct and appropriate document given to the new owner following a deed of trust foreclosure.